Ledger Hardware Wallet Review 2021
Welcome to our Ledger hardware wallet review & analysis for 2021. In this article, we aim to cover a number of the uses & benefits surrounding these wallets, alongside our conclusion and ratings. Personally, we believe cold storage wallets are essential for any serious crypto-connoisseur; offering a superior level of protection to that of online/hot wallets. Their team also frequently offer a number of deals & flash sales throughout the year, which you can see for yourself in our Ledger wallet promo code section. So without delay, lets begin our synopsis.
What does a Ledger wallet do?
A Ledger wallet consists of a special type of Bitcoin wallet, designed to store private keys in a secure, local device. These further feature major advantages over standard software wallets. Such advantages include: immunity to computer viruses made to steal from software wallets, capable for use securely and interactively without ever needing software.
Furthermore, private keys are often stored in protected areas of a microcontroller, meaning it cannot be transferred out of the device easily or in plaintext. Also, the software is usually open source, enabling users to validate the entire operation of their device/wallet. These are just a fraction of the amazing benefits that come with owning your own secure hardware wallet.
Benefits of using a Ledger Wallet
A number of benefits come with owning your own Ledger, including increased security, functionality and usability. As we covered earlier, these Ledger’s feature strong immunity against malware and capable for use without requiring software. Also, you won’t have to worry about remembering your 34 character Bitcoin wallet address or key, it’s all included in one convenient package. Read on and discover an in-depth view on the improvements Ledger’s have over conventional website-wallets.
In terms of security, there have been no confirmed incidents of cryptocurrency stolen from Ledger wallets, further attesting to their unbeatable security. However, they’re still relatively new to the market, so nobody knows for sure if these Ledger wallets are susceptible to any hacking. For now, they have maintained a good track record, with no security incidents being reported; unlike a variety of incidents of crypto currency theft from online wallets.
Users should understand that a hardware wallet still remains a high value target. It’s up to you to maintain a high standard of security when using it. Rest assured that all wallets manufactured had a team of reputable, professional security experts behind them, and will serve you well if utilised correctly.
Keeping your crypto secure
Whilst Ledger’s come with a number of security benefits, they still possess some susceptibility to malware and are not immune. You should carefully consider a number of risks involved with daily use of your hardware wallet, in order to best avoid these potential issues in the future. Users will do well to maintain a high standard of safety, care and responsibility when using their wallet. Yes, a Ledger offers increased protection, however still may fall prey to attackers. Here are a few examples of how a Ledger wallet might fail to protect your cryptocurrency:
Unfortunately, these wallets can’t protect you from user error and deception, such as being tricked into sending Bitcoin to a wrong address. A number of types of malware plague all forms of computers, applications and more. One such instance of malware attacking hardware wallets occurs through swapping the recipient’s address.
For example, a PC infected with malware might monitor valuable transactions before swapping the intended recipient’s address for the attacker’s address. However, for high value transactions we recommend multi-factor confirmation (such as a phone call), ensuring maximum safety.
Insecure RNB (Random Number Generator):
Often embedded in hardware, these wallets rely on the security of an RNG to generate secure private keys. However, an insecure RNG might create wallet keys to later be recreated by attackers. These attackers often generate pseudo-random keys that seem indistinguishable, yet still predictable to advanced attackers. This can occur as a result of malicious attacks, mistakes or user error and is common to any wallet generation procedure in which RNG’s aren’t verified.
A major risk these products face comes in the form of an either intentional or unintentional holes/backdoors into the final product. This raises a huge number of red flags, ranging from breach of privacy to mass scale theft. Furthermore, these backdoors aren’t easy to detect, with the average user having to idea. If the production process becomes corrupt, someone may intentionally add these backdoors to either the software, hardware or both. These hardware backdoors have become a legitimate concern for both the military and high risk financial operations.
Full Node Connection
Most Ledger wallets guide users into connecting via its own web interface by default. This web page adds to the safety of your private keys as they cannot steal them. However, it potentially tricks the user into accepting fake payments; or even spy on them, likely due to malware and user error. Furthermore, third-party wallets see all your Bitcoin addresses, resulting in a negative impact on your privacy and security. Whilst Ledger wallets keep private keys safe, they don’t state whether you actually receive any cryptocurrency or how much you have received.
However, Bitcoin’s security model requires the use full node wallets, which greatly improve security. Without a full node, somebody might pay you in something other than Bitcoin, Ethereum or other chosen cryptocurrency. A full node wallet essentially checks the authenticity incoming transactions and payments, learn more about full node here. Although, full nodes will ideally run continuously and require quite a bit of setup, inconvenient for some. Luckily, alternatives such as the Electrum Bitcoin wallet exist, which allow for a much simpler setup.
Described as the most private and resource-efficient way to use both software and hardware wallets. All whilst connected to a full node. Further benefits include deterministic key generation, those who lose their wallet file will easily recover it from its seed; protecting from user error. Learn more about Electrum here or keep reading for the conclusion of our 2021 Ledger hardware wallet review.
Whilst still relatively new to the crypto scene, Ledger have proven themselves more than worthy as one of the best hardware wallet manufacturers. Certified for their security by French cyber security agency, ANSSI; Ledger use some of the most secure chips on the market, further guaranteeing the safety of your Bitcoin, Ethereum, Ripple or any other cryptocurrency.
These hardware wallets make for a cost-effective way to greatly heighten the defences of your virtual gold stash. Although still susceptible to user error, either through wittingly/unwittingly installing malware or any of the other methods covered.
However, Ledger have gone to great lengths to minimize the chances of such errors. Such efforts include the addition of the easy backup solution. This means that your assets will stay safe, even when you lose or destroy your device. Every Ledger device features a 24-word recovery phrase provided during first startup of your device.
This allows the user to restore their account on any Ledger device in the future. These wallets are truly a great way to keep your valuable currencies safe, however you must use them responsibly. Thank you for reading our Ledger hardware wallet review/analysis for 2021. Feel free to discover a selection of savings for these devices in our Ledger wallet promo codes section.
The Ledger Nano S is a well supported, highly secure hardware wallet which should meet the needs of most cryptocurrency users. The Nano S is the market leader in Hardware wallets and takes care of the security concerns of safeguarding cryptocurrency both simply and effectively.
- Market leading hardware wallet.
- Very affordable.
- One of the most affordable wallets.
- Fantastic industry reputation.
- High security.
- Great support.
- Beautiful design.
- Easy to use interface.
- Support slowed down due to the crypto frenzy in 2017/2018.
- Limited stock due to demand.